Property Prices Have Crashed (see graph)

Originally Posted by Hmmmmm

There could be a couple of factors. Personally I think there is a lot liquid money floating around in terms of savings, cheap mortgages etc. In addition people have lost a bit of faith in traditional investment products (shares, bonds etc.). These two combined push the people to invest in "safe" property and the best way to diversify a portfolio is to buy several small condos.

This is "dangerous" because the investors don't buy what the market demands what rather what they can afford. There are already ghost malls in Singapore. Two on Balestier Road alone...

For Balestier area, when the newly TOP condos are fully occupied, the malls will be buzzing with crowds.

Originally Posted by Unregistered

Well, I respectfully disagree. This is the time to buy. Economy is on a v-shape recovery and despite PM Lee's message of "moderation" Singapore will continue to bring in more foreigners to hit the planned 6.5 million target because we have already built our infrastructure and houses to accommodate this target.

Errr.. the MRT is already overcapacity. The road network is already overcapacity. Singaporeans are complaining about jobs and housing affordability. The Government is already trying to gently deflate the property bubble. The property secondary market isn't that active and its priced far below new launches because people are buying on the dreams. These may turn into nightmares for the greedy.

Originally Posted by Unregistered

Errr.. the MRT is already overcapacity. The road network is already overcapacity. Singaporeans are complaining about jobs and housing affordability. The Government is already trying to gently deflate the property bubble. The property secondary market isn't that active and its priced far below new launches because people are buying on the dreams. These may turn into nightmares for the greedy.

MRT circle line just opened, greatly easing the capacity crunch. COE prices on record high, so there will be fewer cars. As for jobs, didn't the media just said a million jobs were created and all fresh grads got jobs that pay like 10k a month?

With higher income, happy people, and more good years, property prices have no where else to go but up up up!

Yeah Sure. You try taking the MRT today and see. Circle Line or not, every car is packed to the brim during rush hour. Add another 1.5m people and you will have RIOTS. Anyway, Government has already dramatically slowed employment passes and PR applications so 1.5m is probably a 2030 target now.

Only the naive believe the media. I'm sure you don't yourself. Once property prices in China crash, the fragile sentiment in Singapore will evaporate and property speculators will once again be in the dog house.

Originally Posted by Unregistered

Yeah Sure. You try taking the MRT today and see. Circle Line or not, every car is packed to the brim during rush hour. Add another 1.5m people and you will have RIOTS. Anyway, Government has already dramatically slowed employment passes and PR applications so 1.5m is probably a 2030 target now.

Only the naive believe the media. I'm sure you don't yourself. Once property prices in China crash, the fragile sentiment in Singapore will evaporate and property speculators will once again be in the dog house.

I'm waiting for that day.

Originally Posted by Unregistered

I'm waiting for that day.

ya, it's going to be a long wait.....if lucky. F

Y bother to argue...

1)Got $ but tink prices too high...leave cash in the bank lor...but ur biggest enemy will be inflation

2)Got $, think ppty can go up more...buy lor...no risk no gain

3)Hold too much ppty and cannot sleep well...just sell some until u can sleep soundly

4)No $, y bother to argue about prices...just pray u can secure ur current job and no major crisis happens so tat u have no problems paying off ur existing home loan.

In another words, if economic were to continue to do well, it will benefit from 2 to 4.

Majority of the working population will be in catergory 2 to 4.

So, which category u belongs?

[cityhunter66]

Originally Posted by Unregistered

Well, I respectfully disagree. This is the time to buy. Economy is on a v-shape recovery and despite PM Lee's message of "moderation" Singapore will continue to bring in more foreigners to hit the planned 6.5 million target because we have already built our infrastructure and houses to accommodate this target. If not, there will be a worse backlash when we have "ghost malls", "ghost IRs" and "ghost condos". Between this backlash scenario and inflated housing prices, the government has no choice but to choose the latter.

Whether or not prices will continue to go up for more than 2 yrs, we only need common sense to have a general idea. In every market, there will be upturn and downturn, where greed and fear will rule. When everyone's making money, nothing can go wrong. As recent as 3 yrs ago, ppl were banking on 2008 Beijing Olympics China story, what we all didn't see was the financial tsunami creeping upon us. Just think that all the excesses will be wiped out in one fell swoop. When fear rules, nothing is right....never-ending cycle.
Well, it's cool to agree to disagree. I'm just a property-less guy with an opinion

Interesting quote:
"Faber joins hedge fund manager Jim Chanos and Harvard University’s Kenneth Rogoff in warning of a crash in China.

China is “on a treadmill to hell” because it’s hooked on property development for driving growth, Chanos said in an interview last month. As much as 60 percent of the country’s gross domestic product relies on construction, he said. Rogoff said in February a debt-fueled bubble in China may trigger a regional recession within a decade."

China May ?Crash? in Next 9 to 12 Months, Faber Says (Update3) - Bloomberg.com

Beijing Property Prices Collapse
We've been waiting for tightening measures to hit the Beijing property market, especially after the city's real estate association itself said the situation was a bubble.

It looks like the government's clampdown is starting to bite, hard. Average Beijing transaction prices collapsed 31% month on month:

Capital Vue:
The average transaction price of commercial residential properties in Beijing for the week ended May 9 fell 1,790 yuan per square meter or 9.6 percent week-on-week to 16,898 yuan per square meter, reports The Beijing News, citing statistics released by Beijing Real Estate Information Network.

Compared with the week ended April 11, the average transaction price of commercial residential properties in Beijing plunged 31.43 percent to 7,744 yuan per square meter.

In the last weeks of April, the transaction volume of commercial residential properties in Beijing decreased by 10.34 percent, 11.39 percent and 30.82 percent respectively. Average transaction price was flat at between 22,000 yuan to 23,000 yuan per square meter.

Next up? Shanghai.

They're introducing further restrictions on property later this month, such as hiking taxes on owners of multiple properties, according to Shanghai Security News.

Beijing Property Prices Collapse